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An Investor has two bonds in her portfolio, Bond C and Bond Z. Each bond matures in 4 years, has a face value of $1,000,

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An Investor has two bonds in her portfolio, Bond C and Bond Z. Each bond matures in 4 years, has a face value of $1,000, and has a yield to maturity of 8.7%. Bond C pays a 11.5% annual coupon, while Bond Z is a zero coupon bond. Assuming that the yield te maturity of each bond remains at 6.7% over the next 4 years, calculate the price of the bonds at each of the following years to maturity. Round your answers to the nearest cent. Years to Maturity Price of Bond C Price of Bond z $ 3 $ 2 $ 1 $ $ $ b. Select the correct graph based on the time path of prices for each bond. A BordPrice! 51200 Rond 51000 1800 1800 $400 1200 D Yeast May B Bon Price 1200 31000 1000 Bond Price $1.200 $1,000 Bond Z $800 $600 Bond C $400 $200 3 NT lo Years to Maturity D Bond Price! $1.200 Bond C $1.000 $800 $600 Bond Z $400 $200 3 116 Years to Maturity The correct sketch is -Select- >

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